AI Investments result in a substantial increase in revenue growth, say 55% of retailers surveyed by Oxford Economics.
Chatbots, Robotic Process Automation, Predictive Analytics & Machine learning are driving the next wave of digital transformation in retail enterprises. In this blog, we bring you snippets from a recent report of Oxford Economics in partnership with Synchrony.
55% of retailers surveyed, which was not limited to early adopters validated that they have seen a substantial increase in revenue growth. A key indicator to retailers who are evaluating AI technologies to address growth.
72% of retailers say artificial intelligence will be a competitive necessity for their company in the next five years. Nearly half of the respondents said that the application of AI will have a transformative impact in their business.
The top three key factors that impacted AI investments were voted as
a) Customer Demographics that include merchandise preference, income etc,
b) Brand Needs and
c) the brand’s mixed presence both online vs physical locations.
The primary benefits, these retailers accrue of artificial intelligence to customers are mainly around,
– More Relevant & Customized Marketing.
– An Improved In-Store Experience
– Better Merchandise Selection.
64% of retailers today use AI to capture customer data while 40% use AI to predict customer behavior.
Lack of Budget, immature technology & difficulty in prioritizing investments are key challenges faced by retailers adopting AI. 66% of retailers want their AI investments to deliver increased profitability.
You can read the full report here.